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Wednesday 15 October 2008

ONLINE SHOPPING

Online shopping
From Wikipedia, the free encyclopedia
(Redirected from Online shop)
Online shopping is the process consumers go through to purchase products or services over the Internet. An online shop, eshop, e-store, internet shop, webshop, webstore, online store, or virtual store evokes the physical analogy of buying products or services at a bricks-and-mortar retailer or in a shopping mall.
The metaphor of an online catalog is also used, by analogy with mail order catalogs. All types of stores have retail web sites, including those that do and do not also have physical storefronts and paper catalogs.
Online shopping is a type of electronic commerce used for business-to-business (B2B) and business-to-consumer (B2C) transactions.
History
Since about 1990, online shopping has emerged into every corner of life, linking people to the culture of capitalism in frequent and daily ways. [1]. It lets us buy what we want, when we want at our convenience , and helps us to imagine ourselves buying, owning, and having positive outcomes by the goods available out there on the web.[1]. Shopping has been a way of identifying oneself in today's culture by what we purchase and how we use our purchases. Online shopping has always been a middle to high class commodity since its first arrival on the internet in society.[2]. In 1990, Tim Berners-Lee created The World Wide Web Browser.[2]. A few years later in 1994 other advances took place such as Online Banking, After that, the next big development was the opening of an online pizza shop by Pizza Hut.[2]. In that same year Netscape introduced SSL encryption to enable encryption over the data transfered online which has become essential for online shopping. In 1995, Amazon started up with online shopping, then in 1996, eBay opened up for online shopping as well.[2]. The idea of online shopping pre-dates the World Wide Web for there were earlier experiments involving real-time transaction processing from a domestic television. The technology, based on Videotex, was first demonstrated by Michael Aldrich in 1979 who designed and installed systems in the UK, including the first Tesco pilot system in the 1980s.[3].

[edit] Customers
In general, shopping has always catered to middle class and upper class women. Shopping is fragmented and pyramid-shaped. At the pinnacle are elegant boutiques for the affluent, a huge belt of inelegant but ruthlessly efficient “discounters” flog plenty at the pyramid’s precarious middle. According to the anaylsis of Susan D. Davis, at its base are the world’s workers and poor, on whose cheapened labor the rest of the pyramid depends for its incredible abundance.[1]. Shopping has evolved from single stores to large malls with different services such as offering delivery, attentive service and store credit and accepting return. [1]. These new additions to shopping have encouraged and targeted middle class women.
In recent years, online shopping has become popular; however, it still caters to the middle and upper class. In order to shop online, one must be able to have access to a computer and most of the time, own a credit card. This technology separates social classes and their ability to shop. The shopping landscape not only helps distract us from the enormous social segregation by race and class that the most privileged Americans find completely natural, it helps to reproduce this segregation. [1]. Shopping has evolved with the growth of technology and that means an even larger separation between social classes and their means to shop. Social position strongly influences individual preferences and tastes in popular culture. According to research found in the Journal of Electronic Commerce, if we focus on the demographic characteristics of the in-home shopper, in general, the higher the level of education, income, and occupation of the head of the household, the more favourable the perception of non-store shopping.[4]. It should be remembered that an influential factor in consumer attitude towards non-store shopping is exposure to technology, since it has been demonstrated that increased exposure to technology increases the probability of developing favourable attitudes towards new shopping channels. [4].
Online shopping widened the target audience to men and women of the middle class. At first, main users of online shopping were young men with a high level of income and a university education. [4]. This profile is changing. For example, in USA in the early years of Internet there were very few women users, but by 2001 women were 52.8% of the online population. [4]. Sociocultural pressure has made men generally more independent in their purchase decisions, while women place greater value on personal contact and social relations. [4]. In addition, male shoppers are more independent when deciding on purchasing products because unlike women, they don’t necessarily need to see or try on the product.

[edit] Trends
One third of people that shop online use a search engine to find what they are looking for and about one fourth of people find websites by word of mouth. [5]. Word of mouth has increased as a leading way that people find websites to shop from. When an online shopper has a good first experience with a certain website sixty percent of the time they will return to that website to buy more.[5].
Books are one of the things bought most online, however clothes, shoes and accessories are all very popular things to buy online. Cosmetics, nutrition products and groceries are increasingly being purchased online.[5]. About one fourth of travelers are buying their plane tickets online because it is a quick and easy way to compare airline travel and make a purchase. Online shopping provides more freedom and control than shopping in a store.[1] [5].
According to sociological perspective online shopping is arguably the most predictable way to shop.[1]. One knows exactly what website to go to, how much the product will cost, and how long it will take for the product to reach them. Online shopping has become extremely routine and predictable, which is one of it’s great appeals to the consumer.

[edit] Logistics
Consumers find a product of interest by visiting the website of the retailer directly, or do a search across many different vendors using a shopping search engine.
Once a particular product has been found on the web site of the seller, most online retailers use shopping cart software to allow the consumer to accumulate multiple items and to adjust quantities, by analogy with filling a physical shopping cart or basket in a conventional store. A "checkout" process follows (continuing the physical-store analogy) in which payment and delivery information is collected, if necessary. Some stores allow consumers to sign up for a permanent online account so that some or all of this information only needs to be entered once. The consumer often receives an e-mail confirmation once the transaction is complete. Less sophisticated stores may rely on consumers to phone or e-mail their orders (though credit card numbers are not accepted by e-mail, for security reasons).


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